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I think it will happen in the next few years.

Nintendo and MS will cut a deal with big fat money-bags for Nintendo. Some Nintendo games (of Nintendo's choice) on XBox and Windows PC. Some MS games (like Halo and Banjo) on Switch.

Switch and XBox can co-exist with each other, they're not direct competitors. It'll be like DS and XBox 360 or 3DS and XBox One. 

People can say no all they want, but something is up with these two companies, they are getting very friendly and Minecraft is going to be probably the best selling Western third party game on the Switch.